Chris Cylke, vice president of government relations at the American Gaming Association (AGA), has pointed out that attractive promotions, better odds, and the ability to gamble with cryptocurrencies are some of the things that lure people into illegal gaming.

Illegal Gaming Threatens Consumers and Undermines the Legal Industry

Different aspects are included in illegal gaming such as offshore online casinos, unregulated slot machines and illicit sportsbooks. These hidden activities present significant threats to customers and undermine the legal gambling sector.

However, Cylke further noted how important it is to educate consumers about the risks associated with these illegal platforms, reported local media outlet Vegas Inc. According to him, illegal gambling is not a victimless crime as many believe. Users may expose their personal and financial details to unregulated entities which could be located anywhere since there is no oversight over them and customers do not know where their money ends up.

Legalized operators face stiff competition from such illicit operations which do not incur costs like getting licenses or paying taxes. In 2022 alone, reports indicate that illegal betting houses took in more than $510 billion worth of bets while legal establishments lost over $44 billion due to this unfair competition. The legalization of sports betting in numerous jurisdictions in the US has led to a decrease in illegal sports betting, but online casino gaming remains a major issue, with over $337 billion transacted illegally.

Illegal Sports Betting: A $13.3 Billion Tax Drain

Cylke reiterated on consumer education saying that sometimes individuals unknowingly visit sites considered illegal because they appear prominently on search engines. He further stated that some users knowingly choose these sites to avoid scrutiny, a practice that further complicates the problem.

Alan Feldman who is UNLV’s director of strategic initiatives highlighted the absence of consumer protection safeguards found within unauthorized gaming websites together with the fact that they do not pay taxes and thus deprive state coffers of revenues meant for local economies. An AGA report also pointed out that state governments lost $13.3 billion in tax revenue due to illegal and unregulated sports betting.

Feldman called upon all US states where gambling has been legalized to acknowledge the damage caused by unlicensed gambling establishments arguing that legalization of sports betting was primarily done with an aim to generate additional tax dollars for public use. Additionally, he mentioned that people affected negatively by illegal gambling rarely come forward thereby complicating matters even further.

To fight against the illegal gaming industry leaders are calling for stricter law enforcement coupled with creating awareness among the general public. Feldman cited Nevada as an example where they have employed GeoComply technology among others which help to identify and block unauthorized betting activities whilst Cylke commended the Michigan state government’s move of issuing cease-and-desist letters to major illegal sites.

The post How Illegal Gaming Operations Undermine the Legal Industry in the US appeared first on Keno Wizard.

Wynn Las Vegas has taken legal action against Fontainebleau, requesting a Clark County District Court judge to intervene and halt what they claim is the ongoing poaching of their executives by the rival resort.

Wynn’s Legal Filing Claims Fontainebleau Tempts Executives with Salary Boosts

In a recent court filing, Wynn attorneys outlined allegations that Fontainebleau has been actively enticing Wynn executives, who are bound by noncompete agreements, to abandon their positions and join the competitor, reported The Las Vegas Review-Journal. The motion, submitted on April 5, detailed instances where Fontainebleau allegedly offered substantial salary increases to lure Wynn employees away.

The motion asserted that Fontainebleau had repeatedly interfered with and attempted to interfere with Wynn’s employment agreements. It further argued that given Fontainebleau’s past behavior, it is likely to continue such practices, hence the request for an injunction to prevent further disruption of contractual relationships.

This legal tussle began at the beginning of March when Wynn initially filed a lawsuit against Fontainebleau. The complaint alleged persistent efforts by Fontainebleau to convince Wynn employees to switch sides.

The ongoing lawsuit later escalated with the submission of a response from Fontainebleau, including correspondence between the CEOs of both companies, revealing discussions about alleged attempts by Fontainebleau to attract Wynn executives. 

Executive’s Involvement Shapes Wynn-Fountainebleau Legal Battle

One such employee mentioned in the Wynn Las Vegas filing is Wayne Crane, a senior executive director of entertainment for Wynn Nightlife. According to the motion, Crane, who had been with Wynn for over a decade, was approached by Michael Waltman, senior vice president of nightlife at Fontainebleau. Waltman allegedly suggested Crane was undervalued at Wynn and discussed potential opportunities at Fontainebleau, including a significant salary increase.

Crane, although content at Wynn, expressed openness to new prospects, particularly if accompanied by a substantial pay raise. Fontainebleau reportedly offered Crane nearly double his current salary and proposed a workaround for the noncompete clause by assigning him to their Miami branch while allowing him to oversee operations in both Miami and Las Vegas from Nevada.

Crane eventually accepted Wynn’s counteroffer of a new three-year contract with substantially increased pay. This turn of events underscores the intensifying competition for talent in the Las Vegas hospitality industry.

While noncompete clauses are not prohibited in Nevada, legal experts speculate on whether this lawsuit might prompt a reevaluation of such contractual agreements in the state.Judge Mark Denton of Clark County’s business court is expected to rule on Wynn’s request for a preliminary injunction within the next month, marking a pivotal moment in this legal battle between two major players in the Las Vegas hospitality sector.

The post Wynn Resorts Escalates Legal Battle Against Fontainebleau appeared first on Keno Wizard.

After years of legal battles, a federal judge has brought closure to the longstanding dispute over the tribal casino in the Jamul Indian Village, located in San Diego County. US District Judge Andrew G. Schopler, appointed by President Joe Biden, not only dismissed the latest case against the casino but also imposed sanctions on the plaintiffs, marking an end to the protracted legal saga.

Kumeyaay Native Americans Reveal Historical Dispute in Battle for Tribal Land

The case dates back to the early 1990s when the Kumeyaay Native Americans, residing in the Jamul Indian Village, held an election regarding the construction of a casino and a hotel on their tribal land. The decision led to a series of legal challenges initiated by a group opposing the construction, which persisted over the years.

In his ruling issued on February 29, Judge Schopler emphasized the frivolous nature of the plaintiffs’ claims, citing over 20 failed lawsuits with shifting and meritless arguments, reported Courthouse News Service. Judge Schopler accused the plaintiffs of pursuing the case in bad faith, solely for harassment purposes, and ordered all attorney fees to be borne by the plaintiffs.

The core of the legal battle revolved around allegations that the construction of the casino infringed upon ancestral burial grounds, owned by the Roman Catholic Church of San Diego. The plaintiffs contended that the transfer of the cemetery plot to the Village was fraudulent, and orchestrated to evade responsibility for desecration.

Federal Judge Ends Lawsuit Against Tribal Village, Urges Plaintiffs to Cease Legal Pursuits

However, Judge Schopler dismantled these arguments, highlighting the plaintiffs’ misunderstanding of state laws and failure to prove fraudulent transfer. Moreover, he pointed out a critical legal flaw: the absence of the Village as a defendant, despite its indispensable status. As a federally recognized tribe, the Village enjoys sovereign immunity, rendering it immune to lawsuits.

Consequently, Judge Schopler dismissed the case and cautioned against further legal pursuits by the plaintiffs and their attorneys, warning of escalating financial penalties. Expressing hope for a definitive resolution, he urged the plaintiffs to accept their losses and cease litigation.

Last year the Jamul Indian Village Development Corporation (JIVDC) expanded its Jamul Casino with a luxurious 16-story hotel boasting 200 rooms, including 52 suites, alongside extensive amenities such as a rooftop pool deck, restaurant with scenic views, retail space, meeting areas, spa, and fitness center. 

Linked by a pedestrian sky bridge, the hotel aimed to elevate the gambling experience. The expansion reflected JIVDC’s strategic growth plan following a substantial loan, with Chair Erica Pinto emphasizing the economic benefits for the tribal nation and local community, while casino president Mary Cheeks anticipated enhanced competitiveness in the leisure market.

The post Federal Judge Ends Legal Battle Over Jamul Indian Village Casino appeared first on Keno Wizard.

Svenska Spel Sport & Casino, Sweden’s state-owned gaming operator, has renamed its horse games to Svenska Spel Hästar following a dispute with ATG over the name of its trotting venture. The Patent and Market Appeal Court announced the judgment on 25 January, prompting the company to implement this change. This incident marks another setback for the operator, but it remains well-positioned for further growth.

The Name Change Should Have No Ill Consequences

The transition to Svenska Spel Hästar aims to maintain service continuity while complying with the court’s judgment regarding the name dispute. Svenska Spel remains committed to delivering a top-notch trotting experience for its users, incorporating emerging technologies to ensure lasting customer engagement while remaining true to its safe gambling commitment. 

Svenska Spel Sport & Casino CEO and business area manager Fredrik Wastenson did not hide his disappointment with the court’s ruling, expressing confusion at how the judges considered that descriptive words for a business could have such high protection. He nevertheless acknowledged the decision and vowed to make the transition as smooth as possible.

“We are proud of our fantastic offer on horses, which will be available just like before, but now under Svenska Spel Hästar.”

Fredrik Wastenson, Svenska Spel Sport & Casino CEO and business area manager

Svenska Spel Hästar provides various betting options, including bets on high-stakes games like High Five, Duo, and other formats like Winner and Place in French competitions. The platform also allows users to follow all races live. An upcoming highlight of the French trotting season, the Prix d’Amérique, is scheduled for 28 January at Vincennes.

Sweden’s Land-Based Sector Continues to Struggle

While the rebranding of Svenska Spel’s horse games is a relatively minor issue for the operator, it may compound with several other recent setbacks. The company recently announced it could close two land-based venues, Casino Cosmopol in Gothenburg and Malmö.  Svenska Spel confirmed it intends to close the two venues while seeking to “limit losses.”

These challenges originate from the decreasing share of the land-based sector within the gaming vertical in the country. The state-owned operator explained that a substantial shift toward the online gambling sector occurred in 2019 with the reregulation of the industry, further exacerbated by the pandemic. However, Svenska Spel has implemented measures to increase revenues, hopefully achieving a more balanced market.

Svenska Spel’s state-owned status means the operator is significantly more resilient to market downturns and can more easily implement measures to tackle rising industry challenges. It also plays a vital role in spearheading gambling harm prevention research and ensuring that the country’s gambling sector remains safe and sustainable.

The post Svenska Spel Renames Horse Games after Legal Action appeared first on Keno Wizard.

A class action lawsuit has been filed against Evolution by consumer and class action specialists Federman & Sherwood. The suit alleges Evolution deceived investors regarding its growth trajectory and compliance with US law, undermining its revenue and growth. The lawsuit covers the period between 14 February 2019 and 26 October 2023, seeking to recover damages on behalf of investors who purchased Evolution securities.

The Company Faced Rising Pressures

Evolution has faced regulatory challenges, including allegations of breaching US sanctions and operating in countries black-listed by the US. In November 2021, the company was accused of conducting business illegally in several markets, resulting in a substantial decline in its share price. A January 2022 analyst report suggested that a significant portion of Evolution’s revenue could be at risk due to potential regulatory clampdowns.

In April 2022, Australia’s gambling regulator requested ISPs to block unlicensed online gambling sites, five of which were Evolution customers, leading to a decline in the company’s share price. The Swedish Administrative Court upheld a record fine on an Evolution customer, ComeOne Group, resulting in an 11% drop in shares. Reports of industry entities lobbying against the UK’s planned gambling laws overhaul also impacted Evolution’s shares.

Evolution’s financial reports revealed several underlying challenges, showcasing stagnant North American performance and flatlined overall growth, leading to share price declines. October 2023 marked the latest negative development for Evolution as it experienced delays in opening new studios, raising concerns regarding the company’s long-term prospects.

The Plaintiff Alleges Evolution Obscured Information

The Federman & Sherwood complaint alleges violations of Section 10(b) of the Securities Exchange Act and Rules and breaches of Section 20(a) of the Securities Exchange Act. The lawsuit claims that between 24 January 2022 and 26 October 2023, various disclosures revealed the truth about Evolution’s compliance, revenue, and growth, leading to a significant share price drop.

“The Complaint alleges that Defendants… made materially false and/or misleading statements regarding Evolution’s compliance with governing laws…and growth strategies.”

Federman & Sherwood statement

The suit names Martin Carlesund, Evolution CEO, and Jacob Kaplan, chief financial officer defendants. If the company did obfuscate its growing regulatory and compliance issues, it could have significant long-term repercussions. Evolution has not yet responded to the allegations, likely preferring to save its efforts for the impending hearing.

Federman & Sherwood set a deadline of 26 March 2024 for investors wishing to participate in the legal action against Evolution. The class action lawsuit sheds light on Evolution’s challenges in maintaining regulatory compliance. The subsequent impact on its financial performance and shareholder value could draw increased scrutiny on the sector as a whole.

The post Evolution Faces Legal Action over Disclosures and Regulatory Compliance appeared first on Keno Wizard.

Operators offering sports betting and gambling services across the globe have strict rules when it comes to data protection. The access of senior-level employees is monitored while the protection of intellectual property remains an important priority for developers within the gambling sector.

Now, a new report reveals that an Aristocrat employee is facing legal action over allegedly downloading more than 6,800 files from its services. As announced by the Associated Press, Dinh Toan Tran, a game designer with Aristocrat, is in hot water after the leading gaming operator filed a lawsuit, claiming he downloaded thousands of files.

The alleged incident dates back to December. In its lawsuit, the leading pokies developer claims Tran downloaded more than 6,800 files. With the lawsuit, Aristocrat seeks to recover the files.

During a court hearing last week, the company secured a search order from the Federal Court. Consequently, a property where Tran allegedly resided was searched. During the search, electronic devices such as tablets, laptops and external storage devices were seized.

The Court ordered Tran to provide the details needed to log in while at the same time asking him to reveal his whereabouts. Moreover, Tran was ordered not to delete or discard any documents, files or other intellectual property that may belong to the company. Experts are currently analyzing the information uncovered on the devices that were seized during the search that happened at a property located in western Sydney.

Analysis of the Information from the Seized Devices Continues

Ken Brotherson, is the lawyer representing the employee. He confirmed that his client wasn’t present when the search warrants were executed.

Federal Court Justice Yaseen Shariff explained that Aristocrat had a right to determine whether it was wrong or right about its suspicion of the downloaded files. He explained: “It seems to me everything has been done extremely professionally.”

It is yet to be confirmed if Tran indeed obtained any company files. Currently, it remains unclear what the essence of those files might be. Still, John Hennessy SC, Aristocrat’s barrister, informed the court on Thursday that a specific USB storage device is “the focus of the investigation.” Investigation and analysis of the files obtained during the searches continue.

The legal action comes after in December, Aristocrat announced the launch of its 3rd NFL-themed game, Overtime Cash. The launch reaffirmed the company’s successful relationship with the NFL and further expanded the portfolio of games for fans of the sport.

The post Aristocrat Files Legal Claim against Game Design Director appeared first on Keno Wizard.

Lithuania’s parliament (Seimas) has received a new proposal that, if passed, would raise the minimum age limit for gambling to 21. As reported by SBC News, this proposal is part of the Seimas’ 2024 agenda and will be on voted by ministers later this year.

The new measure applies to both retail and digital gambling. In addition to discussing this measure, Lithuanian lawmakers will also discuss the implementation of new restrictions and ID requirements. Under the newly proposed rules, Lithuanian players under 21 will be unable to enter gambling venues, wager money and participate in online gambling.

The raise of the age limit for gambling was proposed by Jurgita Sejonienė, a member of Lithuania’s Homeland Union Party. According to Sejonienė, the age limit in question should be raised in line with Lithuania’s ongoing gambling reforms that have seen the introduction of stricter gambling laws.

The measure was fast-tracked to a vote and received unanimous initial approval. The Seimas will decide whether to proceed with these changes by July 2024.

Lithuania Aims to Introduce a Stricter Regulatory Framework

Currently, Lithuania allows players over 18 to gamble, although people under 21 are prohibited from entering and playing at casinos. Since the new measure will also ban under-21s from playing online, only those above the age of 21 will be able to participate in real-money games.

There is a notable exception, which is the country’s national lottery. As previously, the legal age limit for participating in the lottery would remain 18+. However, Lithuania recently introduced stricter ID check requirements for lottery retailers that require them to verify that consumers are over the legal age before they are allowed to participate.

In the meantime, Lithuania recently adopted increased gambling licensing fees, which was considered a significant development in the country’s regulations. Effective as of July 27, 2023, the resolution reflected the country’s desire to introduce a stricter regulatory framework.

Speaking of regulation, a few months ago, TopSport violated the country’s self-exclusion rules by allowing an excluded individual to play. As a result, the operator was required to pay a fine of $27,000.

The post Lithuania Seeks to Increase the Legal Age for Gambling to 21 appeared first on Keno Wizard.

Pioneering cashless payment innovators Koin and Marker Trax have appointed veteran legal counsel Mark D. Hemmerle as their new Chief Legal Officer. Hemmerle’s extensive executive experience marks a strategic move for both companies in furthering their market presence as they aim to expand their presence in new markets while retaining their trademark reliability and forward-thinking approach.

The Two Companies Strive for Enduring Success

Koin and Marker Trax are helmed by CEO Gary Ellis and offer innovative payment services primarily targeting the gambling sector. Koin boasts an extensive digital payments ecosystem, simplifying payment and cash-out activities. Meanwhile, Marker Trax introduces a cashless, regulatory-compliant casino marker technology, aiming to streamline issuing advances as it empowers casinos with efficient credit underwriting and repayments.

Hemmerle’s expertise at the intersection of emerging technologies and compliance aligns seamlessly with the companies’ dedication to revolutionizing cashless payments. His addition to the leadership promises to guide Koin and Marker Trax as they spearhead advancements in the gaming industry, particularly in deploying their B2C brand Moolah Play, and advancing cashless casino credit solutions.

Mark’s unique combination of gaming expertise and legal acumen makes him a key figure in guiding our company through this phase of exceptional growth.

Charlie Skinner, Marker Trax President

Koin and Marker Trax experienced substantial expansion in 2023, penetrating new markets like Philadelphia and Northern Nevada with their cashless credit and digital wallet solutions. The July partnership with Graton Casino & Resort highlighted the success of Marker Trax’s product as a sound way to ensure growth and sustainability within the gaming industry.

Hemmerle Is Well-Versed in Solving Compliance Challenges

Before joining Koin and Marker Trax, Hemmerle was the VP of Gaming and compliance Counsel at Shift4 Payments, another leader in commerce-enabling technology. He also boasts significant expertise within the gambling sector, working for high-profile casinos and providing consulting services. Hemmerle’s understanding of the industry makes him an invaluable addition as Koin and Marker Trax seek to partner with leading operators.

A June collaboration between Koin and prominent casino management technology company Table Trac demonstrated the necessity for somebody of Hemmerle’s caliber as it significantly expanded the company’s reach. The US presents a very challenging landscape, as keeping up with shifting regulatory requirements in each state demands a particular set of talents that is hard to come by.

The strategic hiring of Hemmerle signals a seamless transition into 2024, ensuring operational efficiency and sustained growth as Koin and Marker Trax seek to maintain momentum and secure new partnerships. His addition will foster continued innovation, marking a significant stride toward revolutionizing cashless payments in the gaming industry.

The post Koin and Marker Trax Onboard Mark D. Hemmerle as Chief Legal Officer appeared first on Keno Wizard.

Rivers Casino Des Plaines, located in Illinois, is confronting a proposed class-action lawsuit stemming from a cyberattack in August that exposed the personal information of thousands of individuals. 

Rivers Casino Lawsuit Highlights Security Gaps and Potential Identity Theft Dangers

Lead plaintiff Michael Glebiv, among over 100 individuals already included in the class action, claims that he would not have entrusted his personal information to Rivers Casino had he been aware of the inadequate data security measures in place.

The cyberattack, occurring around August 12 but only discovered in early November, targeted Rivers Casino Des Plaines’ IT network. The compromised information includes employee and patron names, along with sensitive data such as addresses, dates of birth, Social Security and passport numbers. 

While the casino asserts that the cyberattack did not disrupt its operations, a cybersecurity firm investigating the breach emphasizes the potential risks of identity theft due to the stolen personal information.

The class-action lawsuit comprises five counts, encompassing negligence, negligence per se, breach of implied contract, unjust enrichment, and violation of the Illinois Consumer Fraud Act. 

The lawsuit contends that the casino was aware of the value of the unprotected personally identifiable information it held, making it a prime target for cybercriminals seeking unauthorized access to monetize the stolen data.

Rivers Casino Assists Plaintiffs and Offers Identity Protection

Rush Street Gaming, the Chicago-based parent company of Rivers Casino, has not yet issued a legal response to the allegations. However, the company maintains that it employs robust security protocols and promptly took steps to contain and secure its systems upon detecting the cyberattack. 

Despite the casino’s assurances that there is no indication of financial fraud or identity theft linked to the incident, complimentary identity monitoring and protection services are being offered to potentially impacted individuals.

As the lawsuit unfolds, Rivers Casino Des Plaines is actively assisting the affected plaintiffs in the class action, providing services such as placing Fraud Alerts and Security Freezes on credit files, as well as offering dedicated and confidential support through a toll-free response line.

This legal action follows Rivers Casino’s belated revelation of the data breach in November, nearly three months after the cyberattack occurred. Unlike similar incidents affecting MGM Resorts and Caesars Entertainment, Rivers Casino did not receive an immediate ransom demand. 

Customers of Caesars Entertainment and MGM Resorts International have also filed five class-action lawsuits in Nevada District Court, alleging that the casino giants failed to protect important customer data during the cyberattacks. 

The plaintiffs claim that the companies were aware of the significance of consumer data but did not adhere to Federal Trade Commission guidelines, potentially exposing affected customers to a heightened risk of identity theft. The lawsuits seek compensation for the perceived lack of diligence.

The post Rivers Casino Des Plaines Faces Legal Action Following Data Breach Revelation appeared first on Keno Wizard.

Florida’s Attorney General, Ashley Moody, has called on the state Supreme Court to dismiss a case challenging the legality of digital sports betting, arguing that it does not fall under the state constitution’s definition of casino gambling. The case, initiated by West Flagler and Associates (WFA), challenges the 2021 compact between Gov. Ron DeSantis and the Florida Seminoles, extending the tribe’s monopoly to encompass sports betting and casinos.

Key Grounds for Dismissal in West Flagler’s Sports Betting Case

Moody’s 65-page response, filed just minutes before the deadline, outlines several reasons for dismissal. Notably, it asserts that WFA’s delayed filing, more than two years after the compact approval, is grounds for denial. The response also argues that WFA’s relief-seeking through a “quo warranto” filing is inappropriate, emphasizing that sports betting does not fit the definition of a casino game.

WFA’s contention revolves around the alleged overreach of powers by Gov. DeSantis and the state legislature in approving the compact, claiming a violation of the federal Indian Gaming Regulatory Act. 

The lawsuit further asserts that the monopoly granted to the Seminoles and the hub-and-spoke model for online sports betting infringe on federal regulations. Additionally, WFA argues that any gaming expansion should be subjected to a public vote.

The gambling agreement of 2021, in addition to granting the Seminoles authority over sports betting, permitted the tribe to introduce craps and roulette at its casino establishments. Furthermore, the agreement envisages the potential addition of three casinos on tribal land in Broward County for the Seminoles.

WFA’s SCOTUS Appeal Clashes with Seminole Tribe’s App Relaunch

In October, WFA petitioned the Supreme Court of the United States (SCOTUS) in an attempt to challenge the exclusive rights granted to the Seminole Tribe by Gov. Ron DeSantis, following its failure in the federal court. 

Meanwhile, the Seminole Tribe has quietly relaunched its Hard Rock Bets mobile app, allowing sports betting for existing registrants and Unity loyalty program members in Florida, despite the ongoing legal challenges. 

While the tribe plans to introduce in-person betting at three South Florida casinos on December 7, opponents, including West Flagler Associates, continue to contest the Seminole Tribe’s exclusive sports betting rights. 

Despite the legal complexities, both WFA and the Seminoles share the common goal of expanding legal sports betting options for Floridians. WFA’s strategy has shifted to pursuing relief through federal courts, with plans to file a case with the US Supreme Court. The court granted an extension until February for WFA to submit its case.

The post Florida’s Legal Showdown Continues Over Seminole Tribe’s Sports Betting Deal appeared first on Keno Wizard.